The IPO of Equitas Small Finance Bank (ESFB) will open next week. The lender has fixed a price band of ₹32-33 per share. The IPO opens on October 20, while the closing is set for October 22. The expected date of the listing has been fixed for November 2, 2020. The offer period for anchor investor is one day prior to the bid opening date i.e. October 19, 2020.
Equitas Small Finance Bank had posted a net profit of ₹243 crore for the year ended March 31, 2020 with ratio of gross NPA to advances at 3% and net NPA ratio of 1.66%
Here are 5 things to know about Equitas Small Finance Bank IPO:
1) Lot size: Bids can be made for a minimum of 450 equity shares and in multiples of 450 equity shares thereafter.
2) Equitas Small Finance Bank IPO consists of a fresh issue aggregating up to ₹280 crore and an offer for sale of up to 72,000,000 equity shares by Equitas Holdings Limited (the “Promoter Selling Shareholder”).
3) The offer includes a reservation aggregating up to ₹51 crore for subscription by Eligible Equitas Holdings Limited shareholders on a proportionate basis. It also includes a reservation aggregating up to ₹1 crore for subscription by eligible employees.
4) Post IPO, Equitas Holdings take in the bank will fall to about 82% from 95%.
5) The eligible shareholders mean those individuals and HUFs who are the public equity shareholders of EHL (excluding such persons who are not eligible to invest in the offer under applicable laws or are otherwise unable to make any such investment) as on the date of the red herring prospectus i.e. October 11, 2020, the company said.
